Swelling losses haven't held back gains for Full House Resorts (NASDAQ:FLL) shareholders since they're up 76% over 5 years

The Full House Resorts, Inc. (NASDAQ:FLL) share price has had a bad week, falling 10%. But the silver lining is the stock is up over five years. Unfortunately its return of 76% is below the market return of 102%. Unfortunately not all shareholders will have held it for five years, so spare a thought for those caught in the 46% decline over the last three years: that's a long time to wait for profits.

Although Full House Resorts has shed US$19m from its market cap this week, let's take a look at its longer term fundamental trends and see if they've driven returns.

View our latest analysis for Full House Resorts

Full House Resorts wasn't profitable in the last twelve months, it is unlikely we'll see a strong correlation between its share price and its earnings per share (EPS). Arguably revenue is our next best option. Generally speaking, companies without profits are expected to grow revenue every year, and at a good clip. That's because it's hard to be confident a company will be sustainable if revenue growth is negligible, and it never makes a profit.

In the last 5 years Full House Resorts saw its revenue grow at 13% per year. That's a pretty good long term growth rate. While the share price has gained 12% per year for five years, that's hardly amazing considering the market also rose. You could even argue that the share price was over optimistic, previously.

You can see below how earnings and revenue have changed over time (discover the exact values by clicking on the image).

Balance sheet strength is crucial. It might be well worthwhile taking a look at our free report on how its financial position has changed over time.

A Different Perspective

Investors in Full House Resorts had a tough year, with a total loss of 4.8%, against a market gain of about 19%. However, keep in mind that even the best stocks will sometimes underperform the market over a twelve month period. Longer term investors wouldn't be so upset, since they would have made 12%, each year, over five years. It could be that the recent sell-off is an opportunity, so it may be worth checking the fundamental data for signs of a long term growth trend. I find it very interesting to look at share price over the long term as a proxy for business performance. But to truly gain insight, we need to consider other information, too. Even so, be aware that Full House Resorts is showing 3 warning signs in our investment analysis , you should know about...

Of course Full House Resorts may not be the best stock to buy. So you may wish to see this free collection of growth stocks.

Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on American exchanges.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.